What Is Options Trading and Why Is It on the Rise? | WSJ
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- Опубліковано 30 чер 2024
- Traders are buying and selling stock options at a record pace. WSJ explains how call and put contracts work, and why they carry hidden risks for amateur investors. Illustration: Zoe Soriano for the Wall Street Journal
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#WSJ #Options #Investing
WSJ meet WSB
🤣🤣🤣
😎
Her what@pp
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@@lovethlucas2134 Don't get scammed guys. Can someone ban this dude ^
TSLA 2 DA 🌚🚀🚀🚀🚀
“Sometimes riskier than stocks” 😂 you mean almost every time?
It is mostly riskier than stocks. The only time it is not riskier is when you do a stock replacement strategy with minimal extrinsic value on a deep in the money call option. If stock crashes, you only lose call premium in worst case scenario, but in that scenario you still can sell option with some extrinsic value left, but with stock you lose far more in a deep crash.
@Audrey P yea I wish they talked about the selling side at all lol
if you have the money to buy leaps, its not that risky ...
Losses is part of the game... However, your mood as a trader should not be dependent on the outcome of your trades. Review every bad trade, you will learn a lot from your mistakes. Most importantly, know when to take a break so you won't be revenge trading.
Support your opinion, generally I always look out for it to dump so I can purchase some more. Truly I believe it has come to stay.
I am just 2 weeks into researching about bitcoin investment, don't know if UA-cam videos would count as research.
@@margieparker9656 Grant-yea in a way UA-cam counts as research but still, it is very important you do your personal research and gain as much information about bitcoin investments before venturing into it.
What's the idea behind bitcoin investment anyway? Cause I buy when it falls and sells when it rises.
@@johnmark3034 Bitcoin investment just like every other form of speculative investment where you trade commodities (in this case other cryptocurrencies) to determine which gains or losses against another in order to make profit, just like in forex trading.
this is because of these r/wallstreetbets guys
Her what@pp
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@@lovethlucas2134 this is a scam ignore this
@@PissedOffGhost did you Report him
@@Demon-vq3pr nope
@@lovethlucas2134 thank you
Great stocks and I just bought in on them, but I'm interested in making short term profit, let say turn a $150K to $500k in 6months, I'd appreciate tips on how what stocks to buy to make this much profit.
@Samanthwalter Archie That sounds great and how do i connect with her ?
@Samanthwalter Archie Okay i just found her website and left a message for her. thanks.
All I’m hearing is buy PLTR
Her what@pp
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@smallpotato NAH, WE GOING TO MARS 🚀🚀🚀
😂😂😂😂
And GME
mars here we come
GUH
🤣
Options = free money smh. Yolo PLTR 🚀🚀🚀
“Buy high sell low”- wsb
Cult
WSB can relate
Her what@pp
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Never lose money , stay rational and stick to your homework when researching businesses in which to invest
Knowing the importance of risk management is paramount to trading successfully as it strives on the principle of investing in such a way that minimizes losses and maximizes profit
Investing in forex or bitcoin is very lucrative, your riches will last to your generation
Most investors will always tell you that there’s no better time to invest in the financial market than now . I’ve been into trading for a while now can w, and I must say it really goes with loss without the right approach and strategy
You’re right
Looking at my trading portfolio gives me everlasting joy
The top rated comments was exactly what I expected. 👌
A lot of times? Just YOLO everything
That was the most casual " I turned $100,000 into $300,000" I've ever heard.
Life be like that sometimes
Actually 200k in 300k
@@cryptobanter8301 He said 100,000
Bitcoin is one of the best way to invest and make millions at the moment with the current rising in it.
Exactly!
I'm a few years to come, people will be kicking themselves in regret if they miss this opportunity of buying and investing in crypto currency.
This post has been removed by the moderators of r/wallstreetbets
Modern day gambling basically. I made banks selling otm contracts to those hope and dream gamblers. Literally pulling money out of thin air as a contract writer.
Exact same here, sad they didn't mention option selling at all
wsj 10 months late to the party...
The keys to all trading (and general business) success... *HAVE A STRATEGIC GAME PLAN THAT NEVER INVOLVES HOPE AND/OR “HUNCHES”!!*
Y'all keep using the term "bet"... I'm starting to wondering if the stock market is literally just gambling in a suit and tie lol... 🤔🤔
more like gambling in shorts and no shirts
It is
Options were introduced to hedge, which means it is like an insurance. Since they are cheap and can be made a lot money, newbies trade only options without knowing how it works. And the term bet is just easy to use.
It is. It's literally that, except "investing" is more of a calculated low-risk gambling where you can afford to lose what you're betting, whereas "trading" is yoloing half your net worth on blackjack in a casino.
F&O most definitely is betting. But depending on how/when you do it could be a calculated risk or a blind guess.
Good video but there is some inaccurate information in the video - you will still want to exercise it as long as it rise above the strike price.You will make a loss in this case, but you will want to exercise your option to offset some of the losses.
Short answer: Robinhood
Have a good day
It seems like a good risk vs reward option. so in theory I could buy 100 shares valued at 100k for 1k. If the shares are now 1200 each I make a 20k profit, if they drop I don’t have to execute my trade and just make a loss of the 1k that we agreed upon for the right of the contract? So if the share price goes down to 500 a piece I don’t have to pay 50k+ the contract price?
I can't explain how you make me feel right now the joy in me is unexplaimable have made over £50,000k for the past a months through Stacy
I have incurred so much losses trading on my own..I trade well on demo. But I think the real market is manipulated. Can anyone help me out or at least tell me what I'm doing wrong
That is true, you need an expert broker and account manager to make good profit from Bitcoin trade.
Who doesn't know her. Her stories is painted everywhere on the internet. Here in Canada Stacy carry out the both orientation and mentorship potentials
@Lexi Alison that her wat+ sap handle 👍
Mrs Stacy turned my portfolio from 0.82 btc to 2.18 btc just within one week of trade what a genius
The journal fears my far OTM Palantir Calls
STOCKS AREN'T RISKY. Day trading & penny stocks can be risky. Just because the vast majority of people trade terribly doesn't mean it's risky. Most people can't run a sub 8min mile, that doesn't make it hard. It just takes time and practice. For a doctor, you do what, 7 years of schooling at least, yet people think they can trade in a month. And when most inevitably fail, you get articles saying "it's risky." Thank you for reading my rant, have a nice day.
“I just want the Lexus”
this means the top is coming boys
This lady does know what she’s talking about with the right strategy you can make a big come up I did it.
Leverage. It magnifies risks and losses.
profits as well, if you are smart about it
In the case of options leverage only magnifies potential profits not potential losses, but the likelihood of receiving a loss is high despite the amount you could possibly lose being low.
@@callidusvulpes5556 haha you’re definitely right dude...*checks portfolio to see AAPL down 3% and my calls down 83%*
So when are we gonna hit those 10 baggers on tsla and pltr calls .. then ride away in our Lambos?
Sell puts and covered calls ONLY!
Debit trades do have their place, but they're best for low IV situations. But yeah, net credit trades are the way to go, theta should work in your favor, not against you.
I am relatively new to equity market but funnily the most taking the risk are the one who have the least.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed.......
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0..
@@lovethlucas2134 can you lend me 1000 USD to gamble..I will pay back as soon as my Nigerian prince uncle will inherit me his fortune.
@@lovethlucas2134 Cap
@@lovethlucas2134 Stop capping homie
to guarantee your money.. leap contracts. all my contracts are for Jan 2023... its not big fat money like weekly options but safe. my portfolio is up 11100% since july 2020...
I want to learn how u did this
@@adityabhujbal7783 ITS OPTIONS TRADING, YOU CAN USE YOUR BROKERAGE
@@frost2bit can i have ur mail.. i need a little more clarity
You would think that the wsj would know that options are largely used to hedge your position and not as an investment itself
Just every citizen known in America is pleading for the Wall Street Journal to start Ethnicity Stocks with all 10 types on the rise and fall.
My friend posted in April his massive gains on AMZN calls, so I jumped in as well. Blew up my account tho lol. Options are this generation's gold rush
Does 8.7% represent the share of 1-contrat trades of the total number of trades or the total volume of trades?
Whats up r/wallstreetbets PLTR TO THE MOON STILL GUYS??? Yall made me lose over ~9k on PLTR calls thank you very much :) still hating cramer for messing up my tendies.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
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It'll go up. Just buy leaps instead of those stupid weeklies
WSJ: Sometimes it's riskier
Bitcoin: Hold my beer...
a year ago i wouldn't have understood any of this..now i knew all of this already that i didn't learn anything from watching this.
This video is way too simplistic in my opinion. It doesn't go into detail as to exactly why people lose money on long calls and long puts (theta decay & IV compression).
Nice video.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0..
Problem with video is that the skilled seller of options who is not mentioned in this video can supplement their retirement or working income in a very conservative manner
This was a well-made, simple & digestible video!
how about making one on futures trading too?
I don’t see Options as being the way for investors to bet on high-priced stocks like Amazon, wouldn’t that void be filled by fractional shares mainly?
I could be wrong yet would like to see support for the claim that people turn to options on high-priced stocks.
Thanks for the reply. I guess you most be looking for some other side attractions about investment in Crypto. Kindly send a message to my administrator, Kimberly Williams on What’sapp to invest and earn in crypto currency investment
*+ 1 9 1 7 9 6 0 7 9 5 8* . Her sincerity and transparency is obsolete and her passionate strategies are top notch. .
That’s why they split it
2:42 she said stonk
She is from WSB.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
@@lovethlucas2134 CAP
@@lovethlucas2134 CAP
I did some research about the stock market and stock trading seems to be an easy means of making money when you have a good knowledge of the stock market, am new to this, can someone please direct me on how I can begin making money on stock trades?
Investing on stocks with Robert Denis guidance is one of the best decisions I have made this year, I have been able to make a profit of over $100,000 within three months of trading stocks with Roberts professional guidance.
Investing in the stock market with Robert Denis is quite amazing because the fluctuations in the Stock market prices doesn't make me loose money. I made a profit withdrawal of $30,000 last month
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
I have earned over $77,000 trading stocks with Robert's professional guidance in the past two months. This month has also been a very profitable one for me trading stocks, so I'll advise you to speak to Robert concerning stock trading via his email address.
8.7% this year doesn't say much when you don't tell me how many percent it was last year
I heard one mature golden age guy played it by purchased 2nd hand option. His profit was only 1.5% for a month of expiry.
Actually it's not good performance than equity for novice newbie, though he was aged.
And they didn't mention about the time decay in options which is a crucial factor....smh
That’s cos they’re probably Theta gang
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
You gotta take care of IV and gamma
@@lovethlucas2134 cap
Options trading in hand of beginners is like dynamite in hands of CHILD we know its dangerous but it's interesting to watch
I kinda like options better, i take long durations and do my research on companies before getting the contract.. i do fail sometimes but gain mainly the issue is when to get out lol?
ALL IN!
Let's go
Theres crazy amount of inputs for options...
Could someone correct me here? So basically you don't lose any money for calls & puts except the premium? So basically entering a gambling room with 50% chance of multiplying your wealth and 50% of losing the premium?
i think options are good for hedging purposes rather than trading or speculation
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
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blasphemy
@@lovethlucas2134 CAP
@@lovethlucas2134 CAP
Interesting
@WallStreet Journal CAP
WSB FAM WYA!!
Hopefully getting real financial advice 😭
They only go up
Stonks only go up. Dave Portnoy said so
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
@@lovethlucas2134 CAP
@@lovethlucas2134 CAP
the only people gaining on these are the ones issuing these. with how volatile the market now bcoz of the pandemic, its most probablely gonna be losses so not exercising options are better and the issuer still had a profit
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
@@lovethlucas2134 cap
@@lovethlucas2134 massive cap
So... Yolo PLTR 40c?
Buy leaps unless you hate money
Someone tell the lady Stonks go up.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
@@lovethlucas2134 CAP
@@lovethlucas2134 CAP
This documentary is wrong on many points, more importantly about that options are riskier than stocks. That’s incorrect. Options are used to offset risk on stocks by playing both bear and bull market…
It is literally the reddit effect. People are at home, most of them have available time and are looking at growing thier wealth. Time and WFH is what enabled a lot of people to jump on the investment wagon and since we have a "wonderful" community like WSB freely accessible, the short term gains are very attractive to most people. This was bound to happen. Those memes encourage todays youth and have become an inseperable part of life. Who knows if its for the better or worse that the world of investing is changing slowly?
To the mooooon!!! 🚀
GO GO !!!!
My question is. Why is the DOW at 30 when it should be around 20 to 22. Where in a pandemic globally. Small business are getting hammered not to mention big business. So what gives. Amazon can't be holding up the market.
The reason why Dow Jones and several other indexes have had there price increase is due to volume. For example with lots millennials purchasing shares of publicly traded companies the overall price of these equities increase. And because majority of the buys are on large companies that are included in the SP500 or Dow Jones 30 the price of the index funds increase. In conclusion when a company that is included in an index increases so does the price of the index.
@WallStreet Journal Bro stop capping
It is because the market is irrational
#1 rule in investing: don’t apply logic to the stock market
Why would you ever exercise a call ITM? Unless it's the ex-dividend date and the dividend outweighs the extrinsic value of the contract premium, that's a dumb idea.
So many people are losing money on long calls and long puts, but that means that the writers of those contracts are making money.
Wow that's nice, thanks for replying, you can send a message to my administrator Kimberly Williams on what’sapp to invest and earn in crypto.
.. *+ 1 9 1 7 9 6 0 7 9 5 8* ..
She’s excellent at what she does, tell her I referred you to her. Her passionate strategies are top notch.🇺🇸🇺🇸🇺🇸.
Buy options is a great way to yolo!
Stop being betas and go hard on those OTM calls brahs!!!
All savings on TSLA and PLTR buying OTM naked calls. I gotta say I'm a proud autist.
@@gauravbhalerao7420 you got this bro, hope is the best trading strategy!
WSJ on options
I have watched numerous videos on options but I still don't understand them.
Thanks for the reply. I guess you most be looking for some other side attractions about investment in Crypto. Kindly send a message to my administrator, Kimberly Williams on What’sapp to invest and earn in crypto currency investment
*+ 1 9 1 7 9 6 0 7 9 5 8* . Her sincerity and transparency is obsolete and her passionate strategies are top notch. .
@@tradergeorge68 I know I'm slow to learn option but I can see a dummy bot account when I see one. Your post even has spelling mistakes,something a reknowned news channel can't entertain.im good bruh!
Wallstreetbets for life
Is this what happen in the movie Trading Places with Eddie Murphy and Dan Aykroyd?
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
@@lovethlucas2134 CAP
@@lovethlucas2134 CAP
People saw Wall Street bets Tesla calls
I have been testing this with small small money, they are great if you want your investment to lose 30% immediately even if the stock goes up I don’t get it 😂
That’s because of price decay. If your contract has a high theta aka price decay dont buy into it.
WSJ makes a video on WSB
Did someone say STONKS
lets go
Do your own research if you're interested in options trading. This video doesn't go into much detail especially about the different options strategies and risk management. I've been trading options for about a year with a small account and yes there have been times I lost money but overall I consider it a nice side hustle.
do you have any resources that would help us? websites, books
@@xzc55 udemy pretty good courses on options trading
@@xzc55 the place I started was called project options they have a UA-cam channel and website with lots of resources. For risk management, it's pretty similar for all trading imo but keeping a trading journal and physically writing down the risk reward and rationale for the trade helps a lot.
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed...
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0
SOMETIMES more risky than stocks?
Best example I’ve seen on options
Just like everything in life, if you know what you are doing, you can make money doing it. It's not for some noob to start gambling on RobinHood and thinks he's a pro. Video should've mentioned it's for people who are educated in the subject. Just like it is for doctors and lawyers.
What is for doctors and lawyers?
Invest with my Expert Mrs Maria
she's currently handling my account for me and making me huge profit turning 2 BTC into 4BTC in 9 days and making me $400,000 weekly by putting $50, 000 indeed am amazed.....
Her what@pp
+ 1 6 2 6 5 2 7 9 3 5 0.
@@lovethlucas2134 Major cap
Online Casino when casino's are closed (& rigged)
“Stock market is DEAD, I want you to be trading options”
Not everyone losing money 🤫
Wow that's nice, thanks for replying, you can send a message to my administrator Kimberly Williams on what’sapp to invest and earn in crypto.
.. *+ 1 9 1 7 9 6 0 7 9 5 8* ..
She’s excellent at what she does, tell her I referred you to her. Her passionate strategies are top notch.🇺🇸🇺🇸🇺🇸.
PLTR 2022 leaps
Stonks only go up
She can talk to me about options contracts any day.
Can't lose with spreads
WAKE UP MONDAY MORNING AT 9:30 am.So TSLA CALLS 650 12/11 or
PLTR 50 CALLS 12/11?
sell tesla put credit spreads.
Ahh you mean the OTM calls YOLO robinhooders.
I like how the video doesn't mention that for all of the people who are losing money on those cheap OTM calls, there's someone that wrote contract and is making money.
@@damemethief Yea bunch of beginners losing money on those.
Thanks for the video it is quite understandable and informative. I don't know who needs to hear this you've got to stop saving invest some part of it if you really want financial freedom.
Crypto trading is currently very profitable. From the past few weeks bitcoin went up from $13k to $19k today every bitcoin investor is smiling at the price of bitcoin as its held strong and indeed valuable to generate good ROI,more persons are gonna become millionaires. Investing is a sure way to financial freedom
You don't need any one to put you through. You can watch videos here on youtube concerning how to trade and try out what you've learnt yourself
@Harry Gilbert I agree with you Harry
Bitcoin investment is actually really profitable. But getting a reliable broker to invest with is quite difficult. I have been a victim of scam before and so I find it difficult to trust anyone
I do know a professional and I have been trading with her for about 4 months now, she's more of an expert in Bitcoin trading, Mrs Melissa actually focuses on making huge profit for her clients. I've been using her strategies and skills, it's the best.
Now financial security through diligent saving and investing should be everyone's priority like seriously. I'm currently 8 months pregnant with my first baby. My fiancé and I have been saving and also investing in the stock market to cover us when I'm on maternity leave. We managed to grow our account to $263k and I'm so happy we did because now neither of us are having to work for now.
Wow $263k is HUGE! Congratulations 🎊. I have just graduated from college. I've secured a 9-5 job but wanna be financially free the way you were able to. Do you have any advice on how to get started on investing ? Can I email you?
Thanks Briggs. It took a lot of discipline and sacrifice! My fiancé worked security at USAA so we were lucky to have the financial wealth advisor ( Nicola Delic ) guiding us through our journey. It's easy to set up an account and grow your savings through Forex but the best avenue is to contact your financial advisor. He/she would be a good source for reputable advice. Nicola really pushed me and made me realize what's possible when you're intentional with your finances ❤️
That's admirable. Great going. It takes a lot of discipline.
Thanks for your help. I just researched his accreditation and qualifications from FINRA and SEC. He really seems solid and has an impressive resume.
I've heard and read about him on a couple of places online. Judging from what I've seen, he's really an accredited Forex trade expert.
Why options are introduced??
PLTR TO THE MOON CONFIRMED
Amazon calls paid today 🤑
Thanks for the reply. I guess you most be looking for some other side attractions about investment in Crypto. Kindly send a message to my administrator, Kimberly Williams on What’sapp to invest and earn in crypto currency investment
*+ 1 9 1 7 9 6 0 7 9 5 8* . Her sincerity and transparency is obsolete and her passionate strategies are top notch. .
so gme 30c 12/4
Yolo spy puts bro
I was a trader for many years and I estimate that 80% of option buyers were on the wrong side of the market, in another word, they lost. It's best to simply dollar cost avg into index ETFs from small, mid to large caps. Fidelity allows you to buy dollar amount ETFs.
Moon🚀🚀
Choppy waters? More like the Mariana Trench this year...